LeEco becomes Coolpad's largest shareholder

According to the company, the integration would help Coolpad's products to align with LeEco's ecosystem model - platform, content, terminal and application.IANS | Updated: June 20, 2016, 17:51 IST

Chinese Internet conglomerate LeEco has purchased 11% more shares of telecommunications equipment company Coolpad, becoming its largest shareholder.

LeEco bought the shares from Data Dreamland, the former largest shareholder of Coolpad, for $135 million. After the transaction, LeEco holds a total 28.9% of Coolpad's shares and becomes the largest shareholder of China's top four domestic mobile brand.

According to the company, the integration would help Coolpad's products to align with LeEco's ecosystem model - platform, content, terminal and application.

By this April, LeEco sold more than 10 million smartphones and its second-quarter single-month sales have exceeded two million units. The company said this number is expected to be over three million in the third quarter.

This link-up would also allow the LeEco's ecosystem model to integrate with Coolpad's near-billion intelligent terminals within a very short time helping the company boost its sales in North America, Europe, Asia and Africa.

LeEco would also ingrain its ecosystem model into Coolpad's smart devices, 50% of which could be converted to LeEco's ecosystem-based users.